Tech Mahindra Q2 net profit drops 17.5% to Rs643 crore
New Delhi: Tech Mahindra Ltd on Thursday posted 17.5% fall in consolidated net profit to Rs643.4 crore for the second quarter ended 30 September, 2016-17, but said it looks to grow despite some macro-economic challenges.
The company had posted net profit of Rs780.3 crore in the July- September quarter of last fiscal. The income from operations (net) increased by over 8% to Rs7,167.4 crore in the just-ended quarter, from Rs6,615.5 crore in the year-ago period, according to BSE filing. “Our performance during the financial quarter indicates that our early investments in new technologies and capabilities are starting to show results. We look to continue our growth despite some macro-economic challenges,” Vineet Nayyar, vice chairman of Tech Mahindra said.
In dollar terms, the consolidated Profit After Tax (PAT) at $96.5 million, represented a decline of 18.2% year-on-year (YoY), and 13.4% drop on sequential basis. The revenue at $1072.4 million, was up 6.1 YoY and 4% when compared to June quarter.
“Overall it was a very good quarter for us with the growth well supported by our key communications and enterprises business. We had some marquee wins which align very well with our strategy of catering to the connected world,” CP Gurnani, managing director and chief executive officer (CEO) of Tech Mahindra said in a statement.
Shares of Tech Mahindra closed 2.46% lower at Rs414.8 a share on BSE.